World Bank to give $202m loan for food storage facility

FE REPORT | Tuesday, 20 October 2020

The World Bank would provide US$202 million worth of loans for improving Bangladesh's food storage facility, officials said on Monday.
To this effect, the Washington-based lender signed a loan agreement with Economic Relations Division (ERD) in Dhaka on the day.
WB country director in Bangladesh Mercy Miyang Tembon and ERD secretary Fatema Yeashmin signed the deal.
Under the $202 million funds, Directorate of Food would build eight steel-structure modern food silos -- six for rice and two for wheat storage.
The total capacity of the eight silos will be 0.53 million tonnes of grains. Besides, the Directorate will distribute 0.5 million household silos among 0.5 million families across the country.
The "modern food storage facility project," taken up by the Food Directorate will be completed in June 2023.
Bangladesh is one of the self-sufficient countries in food in the globe where food grains are needed to hoard for fulfilling demands round the year.
The maturity of the Washington-based global lender's $202 million loan is 30 years with a 5-year grace period.
Bangladesh will have to pay 2.0 per cent interest and 0.5 per cent commitment fees for the loan during the maturity period.

[email protected]